Who is the millennial? The world knows the millennials as being those young kids aged 20-30, who are now in college or trying to build their post-college lives. And the major feature that defines millennials is the fact they are broke! Like really broke, because they are drowning in student debt and unemployment.
However, there are a bunch of lucky millennials who did manage to stay on top of their finances and are now proud to be cast as middle income persons. They are the people the rest of the millennials are looking at with envy on social media, thinking how lucky they are. But are they really lucky?
1. Healthcare is still a major luxury
The Affordable Care Act was created to make healthcare affordable for everyone, but it ended up to be a huge fail. For millennials who earn more than the typical broke millennial, healthcare is one of the biggest luxuries out there.
When you have a middle class income you don’t qualify for government subsidies, but you can’t afford to pay for healthcare either. This comes with a lot of other big problems, so there is no wonder many middle income millennials choose to pay the annual fine and take up the risk of not having any healthcare plan.
2. Kids? You can’t afford them!
When you are stuck between living an eternal financial adolescence and earning enough to afford your own place, kids are a delicate subject. The first requirement for having kids is to have a family, then, to afford the child.
Though only a few people would actually acknowledge it, a newborn costs pretty much, with the expenses growing as the child grows. Add the costs of the pregnancy and delivery, as well as general healthcare for the mother and the baby – and take a look at the previous point when it comes to healthcare – and then consider the unpaid maternity leave.
All these requirements can’t be met, not even by middle-income millennials. As a result, they are the generation whose choice of having kids is not theirs to take.
3. Owning your own place is (still) impossible
If you do have a job and an income, one would believe you can buy your own house. Well, bad news: middle-income is not enough to buy a house. Or rent one, for a matter of fact.
The reality is that cities with a low cost of living are overwhelmed by people, which increases the cost of living. Moreover, where the good jobs are is where the highest rents can be found.
Another problem which makes moving out from parents impossible is the way real estate developers are working. They are usually building low income houses in places where there are very low paying jobs or building luxury homes with million dollars price tags. There is no middle ground for your middle income, so you are left with no choices.
4. College can’t be avoided
There were times when students were leaving college with a degree in their hand and endless career opportunities. But those are long gone. Nowadays, college is just a formality. Having a degree means nothing, but not having it is even worse, because you won’t be able to apply for a decent job without it.
If our parents were able to pay their college tuition by working a summer job, now we have to pay the huge student debt from what we earn. This significantly diminishes a middle-income, impairing the person and preventing him or her from establishing a family and moving on.
5. Retirement is a distant dream
The 9 to 5 job is now more of a 24/7 job, with small pauses, but the real problem seems to be the lack of retirement time. Regardless how much you earn, you will have to work an entire week well into your 60s, in order to pay for your debts, rent and make a living. Depending on what happens in your life, you might find yourself working after the retirement age.
With all these problems, there is no wonder most millennials choose to have a pet over a kid and still live with their parents instead of renting a cosmopolitan loft.